Parliament Question: Revival of Closed Urea Plants

GOVERNMENT OF INDIA MINISTRY OF CHEMICALS AND FERTILIZERS DEPARTMENT OF FERTILIZERS LOK SABHA UNSTARRED QUESTION NO. 1379 TO BE ANSWERED ON: 06.02.2026 Revival of Closed Urea Plants 1379: Dr. Manna Lal Rawat: Smt. D K Aruna: Shri Damodar Agrawal: Shri Rajkumar Chahar: Shri Sukanta Kumar Panigrahi: Shri Ravindra Shukla Alias Ravi Kishan: Will the Minister of CHEMICALS AND FERTILIZERS be pleased to state: (a) the outcome of the revival of closed urea plants and impact of the approval granted to the Namrup-IV urea project in March, 2025; (b) the manner in which the said revival has strengthened the domestic availability of urea, particularly in the eastern region of the country; (c) whether the Government has made any assessment regarding the additional capacity created and quantum reduction in imports and strengthened availability on account of revival of closed urea plants particularly in eastern States like Odisha, if so, the details thereof; and (d) the details of urea manufacturing plants in the State of Rajasthan at present? ANSWER THE MINISTER OF STATE IN THE MINISTRY OF CHEMICALS & FERTILIZERS (SMT. ANUPRIYA PATEL) (a) to (c) With regard to Urea, the Government had announced New Investment Policy (NIP) – 2012 on 2nd January, 2013 and its amendment on 7th October, 2014 to facilitate fresh investment in the urea sector and to make India self-sufficient in the urea sector. Total 4 urea units, set up through Joint Venture Companies (JVC) of nominated PSUs, have been revived under NIP-2012. The units set up through JVC are Ramagundam urea unit of Ramagundam Fertilizers and Chemicals Ltd (RFCL) in Telangana and 3 urea units namely Gorakhpur, Sindri and Barauni of Hindustan Urvarak & Rasayan Limited (HURL) in UttarPradesh, Jharkhand and Bihar, respectively. Each of these units has installed capacity of 12.7 Lakh Metric Tonne per annum (LMTPA). These units are highly energy efficient as they are based on latest technology. Therefore, these units have together added urea production capacity of 50.8 LMTPA. Further, An exclusive policy for the revival of Talcher unit of FCIL through JVC of nominated PSUs namely Talcher Fertilizers Limited (TFL) by setting up a new Greenfield Urea plant of 12.7 LMTPA at coal gasification route has also been approved. Overall project progress is 70.63% till 31st December, 2025. Recently, The Cabinet in its meeting held on 19.03.2025 approved the proposal for setting up of a new Brownfield Ammonia-Urea Complex of 12.7 Lakh Metric Tonnes (LMT) annual capacity of Urea production within the existing premises of Brahmaputra Valley Fertilizer Corporation Limited (BVFCL), Namrup, Assam, at an estimated total project cost of Rs.10601.40 Crores with Debt Equity ratio of 70:30 through a Joint Venture (JV), under the New Investment Policy, 2012 read with its amendments on 7th October, 2014. BVFCL’s 11% share is in lieu of tangible assets to be transferred to the Joint Venture company. The tentative overall time schedule for commissioning of the Project is 48 months. A Joint Venture Company, namely, Assam Valley Fertilizer and Chemical Company Limited (AVFCCL) has been incorporated for implementation of the project. Hon’ble Prime Minister has laid the foundation stone of Ammonia-Urea Fertilizer Project of Assam Valley Fertilizer and Chemical Company Limited at Namrup in Dibrugarh, Assam on 21.12.2025. The Namrup-IV Fertilizer plant has been envisaged for strengthening fertilizer security in the North-Eastern region and enhancing domestic urea self-reliance. It will add energy-efficient urea production capacity, bridge domestic demand–supply gap, utilise nearby natural gas resources, and stimulate industrial and economic development in the North Eastern Region. In addition, the Government also notified the New Urea Policy (NUP) – 2015 on 25th May, 2015 for the existing 25 gas-based Urea units with one of the objectives of maximizing indigenous Urea production beyond RAC. The NUP-2015 has led to additional production of Urea by 20-25 LMT as compared to the production during 2014-15 annually. Above steps together have facilitated increase of Urea production from level of 225 LMT per annum during 2014-15 to a record Urea Production at 314.07 LMT during 2023- 24. During 2024-25, 306.67 LMT of Urea was produced in the country. With regard to additional capacity created and the reduction marked in the imports as a result of the revival of closed urea plants, the production data and data related to imports of urea is as under: S. No. Year Production of Urea Imports of Urea (in LMT) (In LMT) 1. 2020-2021 246.05 98.28 2. 2021-2022 250.72 91.363. 2022-2023 284.94 75.80 4. 2023-2024 314.09 70.42 5. 2024-2025 306.67 56.47 6. 2025-2026(upto Dec-25) 224.53 79.97 The information regarding requirement availability, sales and closing stocks of Urea across the States including eastern region of the country during the ongoing Rabi season 2025-26 is as per Annexure. (d) The details of urea manufacturing plants in the State of Rajasthan at present is as under: S.No. Name of the Plants Production Capacity (in MT) 1. SFC-Kota 379500 2. CFCL-Gadepan-I 864600 3. CFCL-Gadepan-II 864600 4. CFCL-Gadepan-III 1270500 *******Annexure referred to in reply to part (a) to (c ) of Lok Sabha Unstarred Question No 1379 for answering on 06.02.2026 ANNEXURE STATE WISE UREA FERTILIZERS AVAILABILITY POSITION FOR RABI 2025-26 (TILL 02/02/26) fig. in LMT UREA Requirement Pro rata Availability Cumulative Closing RABI 2025- Requirement From DBT Sales Stock as on S.No Stat 26 From 01/10/25 to From 02/02/26 e 01/10/25 to 02/02/26 01/10/25 to 02/02/26 02/02/26 1 Andaman and Nicobar 0.00 0.00 0.01 0.00 0.01 2 Andhra Pradesh 9.38 6.87 8.58 7.21 1.38 3 Arunachal Pradesh 0.01 0.00 0.00 0.00 0.00 4 Assam 1.65 1.17 1.72 1.38 0.34 5 Bihar 13.50 10.93 12.48 10.86 1.61 6 Chandigarh 0.00 0.00 0.00 0.00 0.00 7 Chhattisgarh 2.88 2.61 2.89 1.46 1.42 8 Dadra and Nagar 0.00 0.00 0.00 0.00 0.00 9 Daman and Diu 0.00 0.00 0.00 0.00 0.00 10 Delhi 0.15 0.12 0.11 0.09 0.02 11 Goa 0.01 0.01 0.01 0.00 0.00 12 Gujarat 13.90 11.30 12.41 11.03 1.38 13 Haryana 11.60 10.06 12.02 10.38 1.64 14 Himachal Pradesh 0.33 0.29 0.51 0.32 0.19 15 Jammu and kashmir 0.68 0.28 0.70 0.34 0.36 16 Jharkhand 1.20 0.91 1.30 0.85 0.45 17 Karnataka 7.60 5.18 7.76 4.73 3.03 18 Kerala 0.62 0.51 0.55 0.41 0.15 19 Lakshadweep 0.00 0.00 0.00 0.00 0.00 20 Madhya Pradesh 23.00 22.52 24.34 22.17 2.18 21 Maharashtra 11.25 8.22 12.06 8.20 3.86 22 Manipur 0.09 0.06 0.07 0.04 0.02 23 Meghalaya 0.01 0.00 0.01 0.01 0.0024 Mizoram 0.00 0.00 0.01 0.01 0.01 25 Nagaland 0.01 0.01 0.01 0.00 0.00 26 Odisha 1.90 1.06 2.20 0.88 1.32 27 Puducherry 0.08 0.06 0.06 0.05 0.01 28 Punjab 15.00 13.07 16.01 12.82 3.19 29 Rajasthan 15.00 13.97 17.34 15.71 1.64 30 Sikkim 0.00 0.00 0.00 0.00 0.00 31 Tamil Nadu 6.50 4.97 6.05 4.77 1.29 32 Telangana 10.40 7.31 8.41 7.27 1.15 33 Tripura 0.10 0.06 0.11 0.04 0.07 34 Uttarakhand 1.01 0.74 0.99 0.84 0.15 35 Uttar Pradesh 40.00 33.36 41.40 33.95 7.45 36 West Bengal 8.20 5.85 8.83 5.73 3.10 ALL 196.06 161.50 198.95 161.55 37.43 INDIA 1. Primary Indicator of comfortable availability: Availability > Requirement 2. Secondary Indicator of comfortable availability: Availability > Sales